Which of the following refers to the claims that stockholders have against their firm's assets?
A)Loans payable
B)Owners' equity
C)Liabilities
D)Explicit costs

Question

Quizplus · Accepted Answer

Owners' equity refers to the claims that stockholders have against their firm's assets. This represents the residual value of the assets of a company after deducting all its liabilities. Loans payable and explicit costs are liabilities of the firm, while liabilities refer to the obligations that a company owes to its creditors.

Which of the Following Refers to the Claims That Stockholders